Coverdell Educational Savings Account

It's never too early to start saving for your child's education. That makes a Coverdell Educational Savings Account an excellent option for anyone with children under 18. Parents, guardians, grandparents or anyone else can contribute up to $2,000 combined per year until the child reaches 18, and withdrawals are tax-free if used for educational purposes. Education is a serious investment, and you need a serious plan to be prepared for it. Talk to us today about a Coverdell Educational Savings Account, and help prepare your child to one day take on the world.

Account Features:

  • Can be set up for any child under 18
  • Anyone can contribute, up to a combined $2,000 per year, if the contributor's adjusted gross income meets requirements
  • Withdrawals are tax-free if used for educational purposes
  • A child can have multiple accounts, but annual contributions to all cannot exceed $2,000
  • Eligible education expenses include fees, tuition, books, supplies, room and board if the beneficiary is at least a part-time student††
  • Contributions are not tax-deductible
  • Unused funds can be withdrawn by the designated beneficiary before the age of 30 at a 10 percent penalty, or can be rolled over into an account to benefit a qualified eligible family member

† Certain qualifications apply. Consult your tax advisor for more information.

†† Consult your tax advisor for a complete list of qualified expenses.

Other Investment Options

Ask us about other investment options through First National Investments & Planning,* including U.S. Treasury Securities, municipal bonds, stocks, mutual funds and annuities.

* Securities products and advisory services provided by First National Capital Markets, Inc. (FNCM), a registered broker/dealer and registered investment advisor. Member FINRA and SIPC. Advisory services may only be offered by Investment Advisor Representatives in connection with an appropriate FNCM Advisory Services Agreement and disclosure brochure as provided. Investment products are: Not a Deposit • Not FDIC Insured • Not Insured by any Federal Government Agency • Not Guaranteed by the Bank • May Go Down in Value.

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